Global Hospital Information System Market is Estimated to Witness High Growth Owing to Increasing Digitalization and Reliance on Big Data & Analytics
The global hospital information system market is estimated to be valued at USD 54.69 Bn in 2024, exhibiting a CAGR of 7.7% over the forecast period (2024-2031). Furthermore, growing digitalization of healthcare systems across countries is expected to drive the demand for advanced hospital information systems.
Market Dynamics:
The growth of the global hospital information system market is driven by various factors such as reliance on big data analytics. Healthcare organizations are increasingly adopting advanced digital solutions and services to improve operational efficiency, enhance patient care, and reduce treatment costs. This is favoring the adoption of integrated hospital information systems. Continuous innovations in healthcare IT solutions are also enabling the development of more advanced hospital management systems with features such as predictive analytics, advanced automation, telemedicine, and cloud computing. This is expected to further fuel the market growth during the forecast period. The use of big data analytics in healthcare helps providers gain useful insights from patient records and imaging data. This aids clinical decision making and improves overall quality of care. Moreover, it helps detect disease patterns, predict outbreaks, and develop effective management and treatment plans.
Growing Need for Paperless Patient Medical Records and Data Storage
With the rising patient volume and complexities in medical treatments, hospitals are facing difficulties in manually maintaining patient records and histories. This has increased the need for digital patient records that can be easily accessed across departments and facilities. Hospital information systems provide a centralized database to store all patient data electronically in a standardized format. This streamlines clinical workflows and improves access to historical patient records. The growing demand for paperless records is a key driver for the growth of the global hospital information system market.
Increasing Government Support and Initiatives for Healthcare IT Adoption
Many governments around the world have launched initiatives to improve healthcare infrastructure through innovative technologies. They are providing funding and incentives to modernize legacy systems and encourage hospitals to adopt digital solutions. For instance, several programs by the U.S. government such as meaningful use incentives and health information technology for economic and clinical health (HITECH) are promoting Electronic Health Records adoption. Similarly, initiatives like the National Health Mission in India are emphasizing IT solutions. Such supportive regulations are encouraging healthcare providers to invest in advanced systems like hospital information systems. This government push is fueling the growth of the market significantly.
High Initial Costs and Investments Required
Implementation of hospital information systems requires huge capital investments for licensing, installation, customization, training, and maintenance. The costs associated with purchasing hardware, software, databases, customized modules, and hiring trained professionals are substantial. Smaller hospitals have budget constraints that restrict them from making such large expenditures at one go. The high initial costs pose a major restraint in the adoption rate of hospital information systems globally.
Interoperability and Integration Issues
Integrating new advanced HIS with existing legacy systems of hospitals is often complex due to lack of standardization and interoperability. Data migration from old platforms and ensuring communication between different internal and external applications is challenging. It requires customization efforts and additional expenses. Moreover, if the system is unable to integrate and share data as per requirements, it can disrupt clinical and operational workflows. Such integration challenges create reluctance among healthcare centers and dampen the demand for hospital information systems.
Growth in Telemedicine and Remote Patient Monitoring
The COVID-19 pandemic has accelerated the demand for telehealth and telemedicine services globally. Healthcare providers are now more inclined to adopt virtual care and remote patient monitoring solutions enabled by digital platforms. Hospital information systems with integrated telemedicine modules provide opportunities to offer teleconsultations, Electronic Intensive Care Unit (eICU) services, and monitor patients remotely. This allows hospitals to sustain services and expand their reach amid COVID-19. Hence, the rapid growth of telemedicine provides lucrative opportunities for hospital information system vendors.
Emergence of Cloud-Based HIS Platforms
With technological advancements, cloud computing has emerged as a cost-effective solution for healthcare organizations compared to on-premise models. Vendors are innovating hospital information system offerings that are hosted on the cloud and accessible through browsers. The associated operational and maintenance costs are reduced significantly. This cloud-based software-as-a-service model is gaining popularity as it removes the need for upfront capital expenditure. It allows even smaller hospitals to adopt advanced HIS affordably. These shifts present a massive opportunity for growth of cloud-based hospital information systems.
Link: https://www.coherentmarketinsights.com/market-insight/hospital-information-system-market-5044
Key Developments
- On May 29, 2024, Healthray, a well-known healthcare IT solutions company, announced that it had launched AI-generated Hospital Information Management System (HIMS) and EMR that provides a comprehensive suite of software modules to help manage a hospital or clinic more efficiently and effectively. The system is entirely online and cloud-based so one can access the data from anywhere at any time.
- In December 2023, the European Commission and the World Health Organization announced an agreement to strengthen health information systems and boost health data governance and interoperability in Europe. It aims to improve the use and reuse of health data by health-care providers, policy-makers and patients, and to enhance the quality and interoperability of health information systems.
- In April 2022, the government of Arunachal Pradesh, India launched the Integrated Hospital Management Information System & Telemedicine at the Tomo Riba Institute of Health and Medical Sciences. The system aims to record all medical reports, prescriptions electronically and digitalize all District Hospitals, Community Health Centers & Primary Health Center and to establish telemedicine network in the entire state with the Tomo Riba Institute of Health and Medical Sciences the Bakin Pertin Government Hospital.
Key Players
Crener Corporation, Benovymed Healthcare Private Limited, Epic Systems, MMI Mediface, MCKESSON CORPORATION, Veradigm LLC, Medaara, Koninklijke Philips NV, NextGen Healthcare, Siemens Healthineers, Dedalus S.p.A, HCA Healthcare Inc., and Integrated Medical Systems
